Real-time data management: why accurate business partner data can’t wait

In this blog article, you will learn about the critical role that Business Partner Master Data plays in corporate success and why it is not just a one-time cleansing effort but an ongoing process. We'll explore how poor master data can lead to operational inefficiencies and increased risks and how CDQ's Master Data Management solutions help keep data accurate and actionable over time. You'll also discover how CDQ’s Data Mirror and Business Partner Update Management offer real-time updates and seamless integration with your existing systems. 

Business Partner Master Data plays a crucial role in almost every part of the corporate ecosystem. Imagine this: A long-time customer pays within terms, but a new accountant lists a different customer number in the payment. Your accounting team receives the money but can't match it to an invoice. Meanwhile, the expected payment is missing, and the customer is dunned, unaware of the issue since they already paid. This leads to a dispute, frustrating the customer, who eventually turns to a competitor. Later, you realize the customer had two accounts. Sound familiar? Proper Master Data Management helps prevent customer churn.

Without clean and consistent data, companies can struggle with everything from payment delays due to mismatched vendor records to missed sales opportunities because of incorrect customer information. Poor master data management affects the bottom line and can hinder a company’s ability to grow, innovate, and compete.

That’s why CDQ’s Master Data Management solutions are designed to ensure that your business partner data isn’t just accurate but also actionable. By addressing the common issues companies face—whether it’s managing main address data, handling legal form changes, or tracking contact details—we help ensure that your data is not an obstacle but an enabler of success.

In today’s fast-paced, data-driven business environment, Master Data is more than just a collection of names, addresses, and numbers—it’s the very foundation upon which corporate success is built. Whether you’re dealing with customers, vendors, or partners, accurate and well-maintained master data forms the backbone of critical business processes. Without it, the quality of your decisions suffers, leading to operational inefficiencies, compliance risks, and even financial losses.

Think of it this way: every strategic decision—from vendor negotiations to customer engagements—relies on having the right information at hand. When that information is flawed, outdated, or duplicated, it compromises the effectiveness of every department, from sales and purchasing to credit risk management and compliance. At its core, Master Data Management (MDM) is not just about organizing information; it's about ensuring that your business operates with precision and agility.

Accurate business partner data: not once but continuously

Business Partner Master Data, in particular, plays a crucial role in this ecosystem. Without clean and consistent data, companies can struggle with everything from payment delays due to mismatched vendor records to missed sales opportunities because of incorrect customer information. However, the challenge isn’t just about a one-time data cleansing effort; it’s about the ongoing task of keeping that data up-to-date. If left unmanaged, even the best-cleansed data can quickly degrade, leading to inefficiencies and potential compliance risks. Poor master data management affects the bottom line in the short term and can also hinder a company’s ability to grow, innovate, and compete in the long run.

That’s why CDQ’s Master Data Management solutions are designed not just to provide a one-time fix but to continuously ensure that your business partner data is not only accurate but also kept current and actionable. By addressing the common issues companies face—whether it’s managing main address data, handling legal form changes, or tracking contact details—CDQ ensures that your data is not an obstacle but an enabler of ongoing business success. With regular updates and built-in automation, CDQ’s solutions provide the necessary tools to keep your master data in top shape and ensure it supports all facets of your operations.

Let’s start with some startling numbers:

• 21% of business partner records are changed and outdated within one year when you’re dealing with main address data, legal forms, name changes, and contact detail updates. That’s a significant portion of your database prone to inconsistencies if not handled correctly.

But that’s just scratching the surface. For many of our newcomer customers, the situation is even more concerning when considering the overall master data quality:

• A staggering 59% of their records have critical rule violations, according to the 2500+ international data quality rules CDQ has in place. These violations are independent of whether the data originates from manual entry or from large information agencies selling master data.
• On top of that, 16% of records are found to be unintended duplicates. In any business partner portfolio, duplicates can create havoc by leading to inaccurate reporting, faulty vendor management, and even increased credit risk. These duplicates need to be identified and removed to avoid negative impacts on crucial business functions like credit risk management, purchasing, and reporting.

CDQ’s comprehensive solution for master data management

CDQ offers a multi-layered approach to managing master data, ensuring that these pitfalls are avoided. Here’s how:

CDQ integrates multiple data sources, including local registers, regional databases like the LEI register, and international information agencies like D&B. It’s important to note that commercial data from agencies such as D&B or Moody’s requires the customer to have a separate contract with these agencies. This data is not subject to CDQ’s data sharing feature. Each of these data sources plays a crucial role in ensuring the data your company relies on is accurate and up-to-date.

At the core of CDQ’s offering is the Data Mirror, a centralized platform that maintains a copy of your company’s business partner data. The Data Mirror serves several essential functions:

• Synchronizing independent systems across your organization.
• Serving as the base for data quality checks, which can be run through Excel reports or automated via an interface.
• Providing a base for unlimited Business Partner Updates. Whether you digest updates for sub-portfolios, as scheduled updates or event-driven, the CDQ Data Mirror gives you consistent processes across all data sources and providers.
• Acting as a foundation for unattended compliance, ensuring every business partner change is captured and addressed.
• Supporting data sharing, where selected records can be shared with CDQ’s Data Sharing Community to contribute to and receive compliance-related updates.

The power of real-time updates in master data management

The key to mastering business partner data lies in real-time updates. This is where CDQ’s Business Partner Update Management becomes indispensable. By subscribing to specific data sources, you ensure that updates to your business partner records are automatically evaluated and compared with existing data in your Data Mirror.

Each update is analyzed for its relevance and severity, which directly informs your auto-acceptance rules. This can save you 85-95% of manual labor, reducing the need for individual case-by-case updates while maintaining high levels of accuracy.

Your team can access these updates in multiple ways:

• Use the CDQ Cloud Apps to work directly on updates in a browser.
• Download change recommendations in CSV or Excel formats.
• Leverage mass downloads into systems like SAP based on time.
• Integrate CDQ’s updates directly into your MDM system via APIs based on events.

Imagine no longer needing to manually verify every business partner update. With CDQ’s Data Quality Rules and Data Mirror, you gain confidence in your data management processes, allowing you to focus on strategic tasks rather than manual data updates.

CDQ’s Update Browser: Digging into the details

To further refine this process, CDQ’s Business Partner Update Browser provides advanced insights into the changes affecting your business partners. This tool helps you categorize updates based on their:

• Classification, determining whether a change is minor enough to auto-accept or critical enough to review.
• Actions, identifying if the update is a new version of an existing attribute or introduces new information.
• Tags, offering deeper insight into specific changes like modified identifiers, legal address changes, or financial distress signals.

This structured approach ensures that your Master Data Management system remains reliable, up-to-date, and aligned with your company’s broader business goals.

The bottom line: Empower your master data management

At its core, managing Business Partner Master Data isn’t just about keeping your database clean—it’s about maintaining the foundation of your business operations. With CDQ’s comprehensive services, from the Data Mirror to real-time updates and advanced data quality rules, you can ensure your business partner data is always current, accurate, and actionable.

Whether you’re struggling with duplicates, data quality rule violations, or simply want to streamline your compliance efforts, CDQ provides the tools and services you need to take control of your data while keeping your workload manageable.

Are you ready to take control of your business partner data? With CDQ, you can manage your master data with ease, freeing up your team to focus on driving business growth. Contact us today to learn how you can improve your data quality management and reduce manual labor by leveraging CDQ’s powerful tools!